Bitcoin Retreats Lower, Why There Is Risk of Sharp Decline

Bitcoin price traded to a new all-time high above $66,800 before correcting lower against the US Dollar. BTC traded below $63,000 and it remains at a risk of more downsides.

Bitcoin rallied above the $65,000 and $66,000 resistance levels before correcting lower.
The price is now trading below $63,000 and the 100 hourly simple moving average.
There was a break below a major bullish trend line with support near $63,200 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair could accelerate lower if it remains below the $64,000 pivot level.

Bitcoin Price Corrects Lower
Bitcoin price extended its increase above the $65,000 resistance zone. BTC even broke $66,000 and traded to a new all-time high near $66,982.
Recently, there was a downside correction below the $65,000 support level. There was also a break below a major bullish trend line with support near $63,200 on the hourly chart of the BTC/USD pair. The pair is now trading below $63,000 and the 100 hourly simple moving average.
A low is formed near $62,050 and it is now consolidating losses. An immediate resistance is near the $63,200 level. It is near the 23.6% Fib retracement level of the downward move from the $66,982 swing high to $62,050 low.
The 100 hourly SMA is also positioned just above the $63,200 level. A clear break above the $63,200 resistance could open the doors for a fresh increase. The next major resistance sits near the $64,500 level, above which the price might rise towards the $66,000 level.

Source: BTCUSD on TradingView.com
The $64,500 resistance is close to the 50% Fib retracement level of the downward move from the $66,982 swing high to $62,050 low. Any more gains may possibly call for a new all-time high above the $67,000 level in the near term.
More Losses In BTC?
If bitcoin fails to clear the $63,200 resistance zone, it could extend its downside correction. An immediate support on the downside is near the $62,200 level.
The first major support is now forming near the $62,000 level. A break below the $62,000 support may possibly push the price towards the $60,000 support zone.
Technical indicators:
Hourly MACD – The MACD is now losing pace in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.
Major Support Levels – $62,200, followed by $62,000.
Major Resistance Levels – $63,200, $64,500 and $66,000.

Avatar

Related Articles

- Advertisement -

Latest Articles

bitcoin
Bitcoin (BTC) $ 66,638.85
ethereum
Ethereum (ETH) $ 3,619.43
tether
Tether (USDT) $ 0.999616
bnb
BNB (BNB) $ 610.36
solana
Solana (SOL) $ 150.27
staked-ether
Lido Staked Ether (STETH) $ 3,620.82
usd-coin
USDC (USDC) $ 1.00
xrp
XRP (XRP) $ 0.489000
dogecoin
Dogecoin (DOGE) $ 0.137025
the-open-network
Toncoin (TON) $ 7.94
cardano
Cardano (ADA) $ 0.416330
shiba-inu
Shiba Inu (SHIB) $ 0.000021
avalanche-2
Avalanche (AVAX) $ 30.01
tron
TRON (TRX) $ 0.117094
wrapped-bitcoin
Wrapped Bitcoin (WBTC) $ 66,663.86
chainlink
Chainlink (LINK) $ 15.10
polkadot
Polkadot (DOT) $ 6.37
uniswap
Uniswap (UNI) $ 11.65
bitcoin-cash
Bitcoin Cash (BCH) $ 428.37
near
NEAR Protocol (NEAR) $ 5.66
litecoin
Litecoin (LTC) $ 78.85
matic-network
Polygon (MATIC) $ 0.619956
wrapped-eeth
Wrapped eETH (WEETH) $ 3,768.08
leo-token
LEO Token (LEO) $ 5.88
dai
Dai (DAI) $ 0.999706
pepe
Pepe (PEPE) $ 0.000012
internet-computer
Internet Computer (ICP) $ 9.60
kaspa
Kaspa (KAS) $ 0.159944
ethereum-classic
Ethereum Classic (ETC) $ 25.48
fetch-ai
Fetch.ai (FET) $ 1.47
renzo-restaked-eth
Renzo Restaked ETH (EZETH) $ 3,606.70
aptos
Aptos (APT) $ 7.90
ethena-usde
Ethena USDe (USDE) $ 1.00
render-token
Render (RNDR) $ 8.44
monero
Monero (XMR) $ 177.10
hedera-hashgraph
Hedera (HBAR) $ 0.086311
filecoin
Filecoin (FIL) $ 5.24
mantle
Mantle (MNT) $ 0.901816
stellar
Stellar (XLM) $ 0.099006
cosmos
Cosmos Hub (ATOM) $ 7.22
blockstack
Stacks (STX) $ 1.90
okb
OKB (OKB) $ 46.24
arbitrum
Arbitrum (ARB) $ 0.925499
crypto-com-chain
Cronos (CRO) $ 0.098876
dogwifcoin
dogwifhat (WIF) $ 2.61
immutable-x
Immutable (IMX) $ 1.71
first-digital-usd
First Digital USD (FDUSD) $ 0.999093
injective-protocol
Injective (INJ) $ 25.12
sui
Sui (SUI) $ 0.965781
optimism
Optimism (OP) $ 2.09